Question: 3- (25 points) Assume that there are only two countries in the world: Country A and B. Country A's demand and supply curves for corn

3- (25 points) Assume that there are only two countries in

3- (25 points) Assume that there are only two countries in the world: Country A and B. Country A's demand and supply curves for corn are QAD=15-p QAs=4p a. (3 points)Calculate the autarky price for corn in Country A. Now assume that country B's demand and supply curves are as follows. QPb=10-p QBs=p b. (3 points) Find the autarky price in country B. c. (4 points)Determine which country is the importer and which country is the exporter. Explain. d. (5 points)Derive the export supply and import demand curves. Find the equilibrium world price of corn under free trade. e. (10 points)Now assume Country B imposes an import tariff of 1 lira per unit imported. Determine the new domestic prices for corn in country A and in country B. Answer using graphs as well

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